US resists explicit support for Ukraine in G7 statement amid sanctions push

The United States is opposing the inclusion of “further support” for Ukraine in a G7 finance ministers’ statement currently being negotiated in Canada, according to officials involved in the talks.

Washington is also hesitant to label Russia’s full-scale invasion of Ukraine as “illegal” in the text, as reported by Gregorio Sorgi for Defense and FinServ Pros, Caliber.Az reports via Politico.

At the same time, the European Union is intensifying its economic pressure on Russia. On May 20, EU foreign ministers approved the 17th round of sanctions in response to Moscow’s ongoing invasion of Ukraine. This latest package doubles the number of banned vessels in Russia’s so-called shadow fleet—tankers used to evade the West’s oil price cap—and imposes new restrictions on a Russian oil company and shipping business, among other measures.

At the Foreign Affairs Council meeting, EU Commission Vice-President Margrethe Vestager emphasised that Russia must face “more pressure,” citing clear evidence that President Vladimir Putin is unwilling to pursue peace or agree to an unconditional ceasefire. Discussions are underway to expand sanctions further, potentially targeting Russian banking services.

Vestager also voiced support for lowering the existing oil price cap introduced by the G7 in 2022, describing it as an effective tool against Russia’s economy. Intelligence assessments suggest Moscow can no longer conceal the true state of its economy, with officials acknowledging it is in stagnation despite Kremlin propaganda.

Looking ahead, European Commission President Ursula von der Leyen revealed that an 18th sanctions package is already in preparation. This forthcoming round may include tougher energy measures, possibly encompassing a further reduction of the oil price cap and targeting the Russia-to-Germany Nord Stream pipeline—a key energy conduit damaged in an apparent sabotage attack in late 2022.

However, efforts to sanction Nord Stream face complications. Some voices in the White House and within Germany’s governing coalition have suggested a possible return to Russian energy supplies if a ceasefire is reached in Ukraine. Imposing sanctions on the pipeline now could shift the momentum back towards maintaining economic pressure on Moscow.

Members of the European Parliament are scheduled to debate the future of Nord Stream later this evening, highlighting the ongoing complexity of the EU’s energy and security strategy amid the conflict.

By Aghakazim Guliyev